Limited company structure

Hi everyone


Just wondering if this looks okay as im about to start taking a salary from my limited company.


Am I missing anything, or could it be structured better/more efficiently?


Can live comfortably without taking a bigger salary.


I have Rental income as a sole trader which has me around the high tax bracket. But I don't get my €2000 earned income tax credit (I think?)


I set up a limited company for my trading business before the rule changes around funding prsa's with the intention of putting all (most) profits into my pension.


Since the rule changes i have decided to start taking a salary of €12,500 per year. Reasons for this are, the company can put €12,500 into my prsa, I personally can put 20% €2,500 in so thats €15,000 to the pension and a taxable salary of €10,000 but I get the €2000 earned income tax credit that I wouldn't otherwise have so I end up paying roughly €2,500 in tax personally.

Close enough to what the company would have paid in CT anyway had i left the €25,000 in there. I can also avail of the small gift of €1500 annually and the bike to work scheme if I wanted to.

One thing I'm not sure about, Is there employers prsi for a directors salary when he already pays class S as a sole trader?

Thanks

Hi

Employers prsi is not payable on directors salary but employees prsi is still payable at 4.1% for class s on the employment even though you also pay prsi on the rental income.